Kerala takes steps for market intervention
The Kerala government has decided to strengthen Public Distribution System (PDS) as part of market intervention.
As part of taking steps to put a check on rising cost of rice in the open market, the government would ensure that the paddy procured from farmers and converted into grains at the mills to reach the hands of BPL and APL consumers in the state, an official statement said today.
As per the current rates, BPL families would continue to receive Rs 25 kg-rice for one Rupee and would be provided with RSVY Smart Cards to enter the details of their purchases.
On the other hand the APL consumers would continue to get rice at Rs 8.90 for 19 kg and will get a subsidy for 9 kg of rice (Rs 6.90) which is the difference between the state subsidy of Rs 2 for 9 kg of rice and the central government subsidy of Rs 8.90 for 10 kg of rice.
This amount will be credited to the APL consumer's bank account. Currently 65,000 tonne of rice is required for the mid-day meal scheme in government schools and the remaining rice will have to be collected from the mills by the civil supplies corporation and through them it should reach the Public Distribution System. Currently, the subsidy expense of the government on BPL and APL rice stands at Rs 350 crore.